The 285,000 sq ft asset comprises five units and is 90% let to several occupiers.

• What Harworth Group has bought a 285,000 sq ft logistics development in south Yorkshire for £44.4m
• Why Catalyst comprises five units and is 90% let to several occupiers
• What next Harworth to let the final 28,000 sq ft available, with the entire estate expected to generate £2.5m of annualised rent upon full occupancy

Harworth Group has completed the acquisition of Catalyst from KKR and Mirastar, an urban logistics estate located in Rotherham, South Yorkshire.

The developer bought the 285,000 sq ft scheme for £44.4m, reflecting a net initial yield of 5.2%. The deal marks the largest logistics investment in the group’s history, according to Harworth.

Completed in 2023, Catalyst is close to Harworth’s flagship industrial development Advanced Manufacturing Park (AMP).

Catalyst comprises five units and is currently 90% let to several tenants. The facilities have a WAULT of 6.6 years to break and 10.1 years to expiry. Around 28,000 sq ft of space remains available. Upon full occupancy, the entire estate is expected to generate around £2.5m of annual rent.

The land at Catalyst was bought by KKR and Mirastar from Peveril Securities and Premcor. Mirastar then developed the scheme, fully let the project before exiting to a core buyer in Harworth.

The plot sits next to the University of Sheffield’s advanced manufacturing campus, and the wider park covers more than 200 acres and includes 700,000 sq ft of offices. The site also benefits from outline planning consent for research, industrial, and distribution uses.

Harworth intends to implement asset management initiatives to provide additional value across the wider AMP development, where rents have recently exceeded £10/sq ft.

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This article first appeared in Green Street News on 8th October 2024 and was written by May Agaran.